There are few companies that have been punished by the US stock market as much as Tesla (TSLA) has, dropping 27% in February. Yet, with a new month upon us, there is no shortage of questions surrounding where the EV stock could go from here. Indeed, analysts have shared what could come to pass as it looks to rebound from a declining start to 2025.
The slump surprised many considering the high expectations the stock enjoyed entering the new year. Moreover, the potential of the stock is seemingly limited by its need to regain tremendous losses. However, could that process begin this month?
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Tesla Plummets in February: So What Are Experts Projecting for the Stock in March?
Tesla shares jumped mildly on Monday, increasing more than 1.5% to start the week. That comes after what was a rather concerning month-long sell-off of the company for the last three weeks. Moreover, as its European sales have been decimated, all eyes are on if it can turn the page this month.
There is still room to turn things around, despite Telsa (TSLA) dropping 27% in February. Moreover, its performance saw $375 billion leave its market value as it was booted from the $1 trillion club. Additionally, more specified data is not proving to be in the manufacturer’s favor.
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According to a recent report, Tesla’s new registrations dropped 45% in January, while sales of its rivals had increased 37%. That is only compounded by year-to-date auto deliveries being below expectations. However, that reality has not scarred off many experts.
“Morgan Stanley analyst Adam Jonas said the slumping sales data doesn’t deter its position. Although they predict the slump to last all of 2025, they say it creates an “attractive entry point to our preferred embodied AI name.”
“Softer auto deliveries are emblematic of a company in the transition from an automotive ‘pure play’ to a highly diversified play on AI and robotics,” Jones added. In the end, its work with autonomous driving vehicles and its Uptimus robot could be Tesla’s focus moving forward. In that case, its lessened EV sales could be a small price to pay for future gain.
